Singapore - gateway to the Asian market
Healy Consultants Group PLC
04 March, 2014
Singapore is the best business gateway to Asia because of its strategic location. Located in the centre of Southeast Asia, a three hour flight will connect you to major markets such as Hong Kong, China, Vietnam and Taiwan, with Malaysia and Indonesia less than an hour away. As Singapore is the most politically stable country in Asia, it boasts a reputable regulatory environment. Consequently, a Singapore company is the perfect option for signing regional contracts with customers and suppliers or for registering intellectual property.
Benefits of doing business in Singapore
Starting a business in Singapore is easy with minimal corruption, minimal business restrictions, and low bureaucracy. A foreign owned company can invest in every business sector without restriction. This is why Singapore boasts the first place ranking on the 2013 world doing business survey, measuring ease of starting a business, paying taxes and getting credit, amongst other factors.
Known for being the premier financial hub of Asia, Singapore houses hundreds of financial companies, insurance companies, banks and asset management firms. Apart from its highly developed infrastructure system, the country also offers the second lowest corporation tax rate in APAC (17%) within a liberal economy free of exchange controls. Therefore, if properly structured, a Singapore resident company will not suffer tax on international income, all forms of dividends and capital gains. In addition, regional withholding tax rates are minimized through the 69 double taxation treaties signed by Singapore, thus extracting funds from regional subsidiary companies in the form of dividends, management fees and royalties. Also, as Singapore is a member of ASEAN, companies incorporated in Singapore pay no import duty when trading with other ASEAN member countries such as Indonesia, Malaysia, the Philippines, Thailand, Brunei, Cambodia, Laos, and Vietnam.
Singapore is considered the most proficient English speaking country in Asia, all official documents are written in English. International entrepreneurs find it more convenient to communicate with business partners in Singapore because English is the primary business language. Moreover, the country boasts highly skilled labour with a literacy rate of over 96% and a computer literacy rate of 99%; most skilled employees are bilingual in English and Mandarin or Malay.
The near future
In the modern business environment, a companys reputation can make or break its success. Through a simple search in the Internet, any information is now made obtainable. Affiliating a company with Singapore leaves a distinct impression of an efficient and corrupt-free business on clients and suppliers dealing with the company. These are the huge intangible benefits that a Singapore-based business can reap, giving a competitive edge over other companies based in other countries.
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